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Hughes, Howard

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Nov 4, 2024 Master Plan podcast

There’s a lost tale behind Watergate: corporate bagmen, suitcases of illegal cash, and Nixon circumventing the very campaign finance rules he’d just signed into law. Amid the blowback, Nixon leaves a ticking time bomb in the heart of Washington.


ep 2* Secret Plan for a 60-Day Lawless Window:Read the memo in which Watergate’s burglary mastermind G. Gordon Liddy lays out how anonymous corporate donors can funnel money to Nixon’s campaign before new campaign finance laws go into effect.

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DAVID:The news story picks up later that day at the Common Cause office, where we see rooms of young volunteers. They’re sporting some quintessential 70s outfits along with handlebar mustaches, big collars, and big hair. Most of them look fresh-faced— barely out of college — as they begin to sort through the preliminary donor information they’d managed to extract from CREEP. They didn’t get the holy grail — the anonymous donor list from the secret window — but they’d gotten something.

ARCHIVAL NEWS CLIP:A quick total for Chairman Gardner, just under $5 million. Heading the list, Chicago insurance man Clemens Stone — $1,000,000 — reinforcing rumors he’s about to be appointed ambassador to Great Britain.

Next, $800,000 from Richard Scaife of the wealthy Mellon family.

Arthur Watson, former ambassador to France, gave $300,000. John Mulcahy of New York hosted the president on his trip to Ireland, $255,000.


penzoil howard hughs


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Howard Hughes - Wikipedia

Howard Robard Hughes Jr. (December 24, 1905 – April 5, 1976) was an American aerospace engineer, business magnate, film producer, investor, philanthropist and aircraft pilot.[2] He was best known during his lifetime as one of the richest and most influential people in the world. He first became prominent as a film producer, and then as an important figure in the aviation industry. Later in life, he became known for his eccentric behavior and reclusive lifestyle—oddities that were caused in part by his worsening obsessive-compulsive disorder (OCD), chronic pain from a near-fatal plane crash, and increasing deafness.

As a film tycoon, Hughes gained fame in Hollywood beginning in the late 1920s, when he produced big-budget and often controversial films such as The Racket (1928),[3] Hell's Angels (1930),[4] and Scarface (1932). He later acquired the RKO Pictures film studio in 1948, recognized then as one of the Big Five studios of Hollywood's Golden Age, although the production company struggled under his control and ultimately ceased operations in 1957.

Through his interest in aviation and aerospace travel, Hughes formed the Hughes Aircraft Company in 1932, hiring numerous engineers, designers, and defense contractors.[5][6]: 163, ^259  He spent the rest of the 1930s and much of the 1940s setting multiple world air speed records and building the Hughes H-1 Racer (1935) and the gigantic H-4 Hercules (the Spruce Goose, 1947), the largest flying boat in history with the longest wingspan of any aircraft from the time it was built until 2019. He acquired and expanded Trans World Airlines and later acquired Air West, renaming it Hughes Airwest. Hughes won the Harmon Trophy on two occasions (1936 and 1938), the Collier Trophy (1938), and the Congressional Gold Medal (1939) all for his achievements in aviation throughout the 1930s. He was inducted into the National Aviation Hall of Fame in 1973 and was included in Flying magazine's 2013 list of the 51 Heroes of Aviation, ranked at No. 25.[7]

During his final years, Hughes extended his financial empire to include several major businesses in Las Vegas, such as real estate, hotels, casinos, and media outlets. Known at the time as one of the most powerful men in the state of Nevada, he is largely credited with transforming Las Vegas into a more refined cosmopolitan city. After years of mental and physical decline, Hughes died of kidney failure in 1976. His legacy is maintained through the Howard Hughes Medical Institute and Howard Hughes Holdings Inc.[8]

Early life

[](https://en.wikipedia.org/wiki/File:Howard_Hughes_as_child_%284729132038%29.jpg)Hughes in April 1912Hughes' house

Howard Robard Hughes Jr. was the only child of Allene Stone Gano (1883–1922) and of Howard R. Hughes Sr. (1869–1924), a successful inventor and businessman from Missouri. He had English, Welsh and some French Huguenot ancestry,[9] and was a descendant of John Gano (1727–1804), the minister who allegedly baptized George Washington.[10] Through John Gano's sister Sussanah, Hughes was a 5th cousin once-removed of the Wright brothers, Orville and Wilbur, who invented the first successful airplane.[11]

Hughes Sr. patented the two-cone roller bit in 1909, which allowed rotary drilling for petroleum in previously inaccessible places. The senior Hughes made the shrewd and lucrative decision to commercialize the invention by leasing the bits instead of selling them, obtaining several early patents, and founding the Hughes Tool Company in 1909.

Hughes' uncle was the famed novelist, screenwriter, and film director Rupert Hughes.[12]

A 1941 affidavit birth certificate of Hughes, signed by his aunt Annette Gano Lummis and by Estelle Boughton Sharp, states that he was born on December 24, 1905, in Harris County, Texas.[N ^1] However, his certificate of baptism, recorded on October 7, 1906, in the parish register of St. John's Episcopal Church in Keokuk, Iowa, listed his date of birth as September 24, 1905, without any reference to the place of birth.[N ^2]

At a young age, Hughes Jr. showed interest in science and technology. In particular, he had a great engineering aptitude, and built Houston's first "wireless" radio transmitter at age 11.[13] He went on to be one of the first licensed ham-radio operators in Houston, having the assigned callsign W5CY (originally 5CY).[14] At 12, Hughes was photographed for the local newspaper, which identified him as the first boy in Houston to have a "motorized" bicycle, which he had built from parts of his father's steam engine.[15] He was an indifferent student, with a liking for mathematics, flying, and mechanics. He took his first flying lesson at 14, and attended Fessenden School in Massachusetts in 1921.

After a brief stint at The Thacher School, Hughes attended math and aeronautical engineering courses at Caltech.[13][15] The house where Hughes lived as a teenager at 3921 Yoakum Blvd., Houston, still stands, now known as Hughes House on the grounds of the University of St. Thomas.[16][17]

His mother Allene died in March 1922 from complications of an ectopic pregnancy. Howard Hughes Sr. died of a heart attack in 1924. Their deaths apparently inspired Hughes to include the establishment of a medical research laboratory in the will that he signed in 1925 at age 19. Howard Sr.'s will had not been updated since Allene's death, and Hughes Jr. inherited 75% of the family fortune.[18] On his 19th birthday, Hughes was declared an emancipated minor, enabling him to take full control of his life.[19]

From a young age, Hughes became a proficient and enthusiastic golfer. He often scored near-par figures, playing the game to a two-three handicap during his 20s, and for a time aimed for a professional golf career. He golfed frequently with top players, including Gene Sarazen. Hughes rarely played competitively and gradually gave up his passion for the sport to pursue other interests.[20]

Hughes played golf every afternoon at LA courses including the Lakeside Golf Club, Wilshire Country Club, or the Bel-Air Country Club. Partners included George Von Elm or Ozzie Carlton. After Hughes hurt himself in the late 1920s, his golfing tapered off, and after his XF-11 crash, Hughes was unable to play at all.[6]: 56–57, 73, 196 

Hughes withdrew from Rice University shortly after his father's death. On June 1, 1925, he married Ella Botts Rice, daughter of David Rice and Martha Lawson Botts of Houston, and great-niece of William Marsh Rice, for whom Rice University was named. They moved to Los Angeles, where he hoped to make a name for himself as a filmmaker.

They moved into the Ambassador Hotel, and Hughes proceeded to learn to fly a Waco, while simultaneously producing his first motion picture, Swell Hogan.[6] In 1929, after four years of marriage, Ella returned to Houston and filed for divorce.

Business career

Hughes enjoyed a highly successful business career beyond engineering, aviation and film-making; many of his career endeavors involved varying entrepreneurial roles.

Entertainment

Ralph Graves persuaded Hughes to finance a short film, Swell Hogan, which Graves had written and would star in. Hughes himself produced it. When he screened it, he thought it was a disaster. After hiring a film editor to try to salvage it, he finally ordered that it be destroyed.[21] His next two films, Everybody's Acting (1926) and Two Arabian Knights (1927), achieved financial success; the latter won the first Academy Award for Best Director of a comedy picture.[6]: 45–46  The Racket (1928) and The Front Page (1931) were also nominated for Academy Awards.

Hughes spent $3.5 million to make the flying film Hell's Angels (1930).[6]: 52, 126  Hell's Angels received one Academy Award nomination for Best Cinematography.

He produced another hit, Scarface (1932), a production delayed by censors' concern over its violence.[6]: 128 

The Outlaw premiered in 1943, but was not released nationally until 1946. The film featured Jane Russell, who received considerable attention from industry censors, this time owing to her revealing costumes.[6]: 152–160 

RKO

Main article: RKO Pictures

Hughes on the cover of Time magazine, July 1948 (with the Hughes H-4 Hercules in the background)

From the 1940s to the late 1950s, the Hughes Tool Company ventured into the film industry when it obtained partial ownership of the RKO companies, which included RKO Pictures, RKO Studios, a chain of movie theaters known as RKO Theatres and a network of radio stations known as the RKO Radio Network.

In 1948, Hughes gained control of RKO, a struggling major Hollywood studio, by acquiring the 929,000 shares owned by Floyd Odlum's Atlas Corporation, for $8,825,000 ($107,165,160 in 2023). Within weeks of acquiring the studio, Hughes dismissed 700 employees. Production dwindled to 9 pictures during the first year of Hughes' control; previously RKO had averaged 30 per year.[6]: 234–237 

[](https://en.wikipedia.org/wiki/File:Janet_Leigh_and_John_Wayne_in_%27Jet_Pilot%27,_1957.jpg)Janet Leigh and John Wayne in Jet Pilot (1957). Hughes was the producer of the film when he acquired RKO.

That same year, 1948, he was able to arrange for his previous films with United Artists (UA), The Outlaw, Mad Wednesday, and Vendetta to be transferred to RKO. In exchange for the three completed being removed from UA distribution, Hughes and James and Theodore Nasser of General Service Studios would provide the financing of three independent films for distribution by UA. In terms of negotiations directly with RKO, the company agree to remove the production of the film Jet Pilot from David O. Selznick to Hughes.[22] Hughes produced the film during the years 1949-1950 and owned RKO and in turn the distribution for the film. However, the film was not released until 1957 by Universal Pictures due in part to the subsequent events that would take place at RKO Distribution, and largely due the extra aerial film footage that had been filmed over the years after the film's 1950 completion. Hughes was undertaking a final edit before the 1957 release.[23]

After his acquisition of RKO, Hughes shut down production at the studio for six months, during which time he ordered investigations into the political leanings of every remaining RKO employee. Only after ensuring that the stars under contract to RKO had no suspect affiliations would Hughes approve completed pictures to be sent back for re-shooting. This was especially true of the women under contract to RKO at that time. If Hughes felt that his stars did not properly represent the political views of his liking or if a film's anti-communist politics were not sufficiently clear, he pulled the plug. In 1952, an abortive sale to a Chicago-based five-man syndicate, two of whom had a history of complaints about their business practices and none with any experience in the movie industry, disrupted studio operations at RKO even further.[24]

In 1953, Hughes became involved with a high-profile lawsuit as part of the settlement of the United States v. Paramount Pictures, Inc. Antitrust Case. As a result of the hearings, the shaky status of RKO became increasingly apparent. A steady stream of lawsuits from RKO's minority shareholders had grown to become extremely annoying to Hughes. They had accused him of financial misconduct and corporate mismanagement. Since Hughes wanted to focus primarily on his aircraft manufacturing and TWA holdings during the years of the Korean War of 1950 to 1953, Hughes offered to buy out all other RKO stockholders in order to dispense with their distractions[citation ^needed].

By the end of 1954, Hughes had gained near-total control of RKO at a cost of nearly $24 million, becoming the first sole owner of a major Hollywood studio since the silent-film era. Six months later Hughes sold the studio to the General Tire and Rubber Company for $25 million. Hughes retained the rights to pictures that he had personally produced, including those made at RKO. He also retained Jane Russell's contract. For Howard Hughes, this was the virtual end of his 25-year involvement in the motion-picture industry. However, his reputation as a financial wizard emerged unscathed. During that time period, RKO became known as the home of classic film noir productions, thanks in part to the limited budgets required to make such films during Hughes' tenure. Hughes reportedly walked away from RKO having made $6.5 million in personal profit.[25] According to Noah Dietrich, Hughes made a $10,000,000 profit from the sale of the theaters and made a profit of $1,000,000 from his 7-year ownership of RKO.[6]: 272–273 

Real estate

Main article: Howard Hughes Corporation

According to Noah Dietrich, "Land became a principal asset for the Hughes empire". Hughes acquired 1200 acres in Culver City for Hughes Aircraft, bought 7 sections [4,480 acres] in Tucson for his Falcon missile-plant, and purchased 25,000 acres near Las Vegas.[6]: 103, 254  In 1968, the Hughes Tool Company purchased the North Las Vegas Air Terminal.

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Initially staying in the Desert Inn, Hughes refused to vacate his room, and instead decided to purchase the entire hotel. Hughes extended his financial empire to include Las Vegas real estate, hotels, and media outlets, spending an estimated $300 million, and using his considerable powers to acquire many of the well-known hotels, especially the venues connected with organized crime. He quickly became one of the most powerful men in Las Vegas. He was instrumental in changing the image of Las Vegas from its Wild West and, later, Mafia / organized crime roots into a more refined cosmopolitan city.[27] In addition to the Desert Inn, Hughes would eventually own the Sands, Frontier, Silver Slipper, Castaways, and Landmark and Harold's Club in Reno. During his four years in Las Vegas, Hughes became the largest employer in Nevada.[27]

Aviation and aerospace

Hughes with his Boeing 100 in the 1940s

Another portion of Hughes' commercial interests involved aviation, airlines, and the aerospace and defense industries. A lifelong aircraft enthusiast and pilot, Hughes survived four airplane accidents: one in a Thomas-Morse Scout while filming Hell's Angels, one while setting the airspeed record in the Hughes Racer, one at Lake Mead in 1943, and the near-fatal crash of the Hughes XF-11 in 1946. At Rogers Airport in Los Angeles, he learned to fly from pioneer aviators, including Moye Stephens and J.B. Alexander. He set many world records and commissioned the construction of custom aircraft for himself while heading Hughes Aircraft at the airport in Glendale, CA. Operating from there, the most technologically important aircraft he commissioned was the Hughes H-1 Racer. On September 13, 1935, Hughes, flying the H-1, set the landplane airspeed record of 352 mph (566 km/h) over his test course near Santa Ana, California (Giuseppe Motta reaching 362 mph in 1929 and George Stainforth reached 407.5 mph in 1931, both in seaplanes). This marked the last time in history that an aircraft built by a private individual set the world airspeed record. A year and a half later, on January 19, 1937, flying the same H-1 Racer fitted with longer wings, Hughes set a new transcontinental airspeed record by flying non-stop from Los Angeles to Newark in seven hours, 28 minutes, and 25 seconds (beating his own previous record of nine hours, 27 minutes). His average ground-speed over the flight was 322 mph (518 km/h).[28][6]: 69–72, 131–135 

The H-1 Racer featured a number of design innovations: it had retractable landing gear (as Boeing Monomail had five years before), and all rivets and joints set flush into the body of the aircraft to reduce drag. The H-1 Racer is thought to have influenced the design of a number of World War II fighters such as the Mitsubishi A6M Zero, Focke-Wulf Fw 190, and F8F Bearcat,[29] although that has never been reliably confirmed. In 1975 the H-1 Racer was donated to the Smithsonian.[6]: 131–135 

Hughes Aircraft

Main article: Hughes Aircraft

Hughes Aircraft Company logo until 1985

In 1932 Hughes founded the Hughes Aircraft Company, a division of Hughes Tool Company, in a rented corner of a Lockheed Aircraft Corporation hangar in Burbank, California, to build the H-1 racer.

Shortly after founding the company, Hughes used the alias "Charles Howard" to accept a job as a baggage handler for American Airlines. He was soon promoted to co-pilot. Hughes continued to work for American Airlines until his real identity was discovered.[30][31][32]

During and after World War II Hughes turned his company into a major defense contractor. The Hughes Helicopters division started in 1947 when helicopter manufacturer Kellett sold their latest design to Hughes for production. Hughes Aircraft became a major U.S. aerospace- and defense contractor, manufacturing numerous technology-related products that included spacecraft vehicles, military aircraft, radar systems, electro-optical systems, the first working laser, aircraft computer systems, missile systems, ion-propulsion engines (for space travel), commercial satellites, and other electronics systems.[33][34][35]

In 1948 Hughes created a new division of Hughes Aircraft: the Hughes Aerospace Group. The Hughes Space and Communications Group and the Hughes Space Systems Division were later spun off in 1948 to form their own divisions and ultimately became the Hughes Space and Communications Company in 1961. In 1953 Howard Hughes gave all his stock in the Hughes Aircraft Company to the newly formed Howard Hughes Medical Institute, thereby turning the aerospace and defense contractor into a tax-exempt charitable organization. The Howard Hughes Medical Institute sold Hughes Aircraft in 1985 to General Motors for $5.2 billion. In 1997 General Motors sold Hughes Aircraft to Raytheon and in 2000, sold Hughes Space & Communications to Boeing. A combination of Boeing, GM, and Raytheon acquired the Hughes Research Laboratories, which focused on advanced developments in microelectronics, information & systems sciences, materials, sensors, and photonics; their work-space spans from basic research to product delivery. It has particularly emphasized capabilities in high-performance integrated circuits, high-power lasers, antennas, networking, and smart materials.

Round-the-world flight

On July 14, 1938, Hughes set another record by completing a flight around the world in just 91 hours (three days, 19 hours, 17 minutes),[36] beating the previous record of 186 hours (seven days, 18 hours, 49 minutes) set in 1933 by Wiley Post in a single-engine Lockheed Vega by almost four days. Hughes returned home ahead of photographs of his flight. Taking off from New York City, Hughes continued to Paris, Moscow, Omsk, Yakutsk, Fairbanks, and Minneapolis, then returning to New York City. For this flight he flew a Lockheed 14 Super Electra (NX18973, a twin-engine transport with a crew of four) fitted with the latest radio and navigational equipment. Harry Connor was the co-pilot, Thomas Thurlow the navigator, Richard Stoddart the engineer, and Ed Lund the mechanic. Hughes wanted the flight to be a triumph of U.S. aviation technology, illustrating that safe, long-distance air travel was possible. Albert Lodwick of Mystic, Iowa, provided organizational skills as the flight operations manager.[37] While Hughes had previously been relatively obscure despite his wealth, better known for dating Katharine Hepburn, New York City now gave him a ticker-tape parade in the Canyon of Heroes.[38][6]: 136–139  Hughes and his crew were awarded the 1938 Collier Trophy for flying around the world in record time.[39][40] He was awarded the Harmon Trophy in 1936[41] and 1938 for the record-breaking global circumnavigation.[42]

In 1938 the William P. Hobby Airport in Houston, Texas—known at the time as Houston Municipal Airport—was renamed after Hughes, but the name was changed back due to public outrage over naming the airport after a living person. Hughes also had a role in the financing of the Boeing 307 Stratoliner for TWA, and the design and financing of the Lockheed L-049 Constellation.[5]

Other aviator awards include: the Bibesco Cup of the Fédération Aéronautique Internationale in 1938, the Octave Chanute Award in 1940, and a special Congressional Gold Medal in 1939 "in recognition of the achievements of Howard Hughes in advancing the science of aviation and thus bringing great credit to his country throughout the world".[43][44]

President Harry S. Truman sent the Congressional medal to Hughes after the F-11 crash. After his around-the-world flight, Hughes had declined to go to the White House to collect it.[6]: 196 

Hughes D-2

Main article: Hughes D-2

Development of the D-2 began around 1937, but little is known about its early gestation because Hughes' archives on the aircraft have not been made public. Aircraft historian René Francillon speculates that Hughes designed the aircraft for another circumnavigation record attempt, but the outbreak of World War II closed much of the world's airspace and made it difficult to buy aircraft parts without government approval, so he decided to sell the aircraft to the U.S. Army instead. In December 1939, Hughes proposed that the United States Army Air Corps (USAAC) procure it as a "pursuit type airplane"[45] (i.e. a fighter aircraft). It emerged as a two or three-seat twin-boom aircraft powered by two Pratt & Whitney R-2800-49 engines and constructed mostly of Duramold, a type of molded plywood.[46] The United States Army Air Forces (USAAF, successor to the USAAC) struggled to define a mission for the D-2, which lacked both the maneuverability of a fighter and the payload of a bomber, and was highly skeptical of the extensive use of plywood; however, the project was kept alive by high-level intervention from General Henry H. Arnold.[47] The prototype was brought to Harper's Dry Lake in California in great secrecy in 1943 and first flew on June 20 of that year.[48][49] The initial test flights revealed serious flight control problems, so the D-2 returned to the hangar for extensive changes to its wings, and Hughes proposed to redesignate it as the D-5.[49] However, in November 1944, the still-incomplete D-2 was destroyed in a hangar fire reportedly caused by a lightning strike.[50]

Fatal crash of the Sikorsky S-43

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Connections to Richard Nixon and Watergate

Shortly before the 1960 Presidential election, Richard Nixon was alarmed when it was revealed that his brother, Donald, had received a $205,000 loan from Hughes. It has long been speculated[132] that Nixon's drive to learn what the Democrats were planning in 1972 was based in part on his belief that the Democrats knew about a later bribe that his friend Bebe Rebozo had received from Hughes after Nixon took office.[133]

In late 1971, Donald Nixon was collecting intelligence for his brother in preparation for the upcoming presidential election. One of his sources was John H. Meier, a former business adviser of Hughes who had also worked with Democratic National Committee Chairman Larry O'Brien.[134]

Meier, in collaboration with former Vice President Hubert Humphrey and others, wanted to feed misinformation to the Nixon campaign. Meier told Donald that he was sure the Democrats would win the election because Larry O'Brien had a great deal of information on Richard Nixon's illicit dealings with Howard Hughes that had never been released;[135][136] O'Brien did not actually have any such information, but Meier wanted Nixon to think that he did. Donald told his brother that O'Brien was in possession of damaging information that could destroy his campaign.[137] Terry Lenzner, who was the chief investigator for the Senate Watergate Committee, speculates that it was Nixon's desire to know what O'Brien knew about Nixon's dealings with Hughes that may have partially motivated the Watergate break-in.[138]

Last years

Physical and mental decline

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